Question: The table below describes the expected return and the standard deviation of the return for Franchises A and B: Franchise A ($MM) Franchise B ($MM)
The table below describes the expected return and the standard deviation of the return for Franchises A and B:
|
| Franchise A ($MM) | Franchise B ($MM) |
| Expected Return | 10 | 20 |
| Standard Deviation | 20 | 30 |
Franchise A is _____ Franchise B in terms of total risk.
| riskier than | ||
| less risky than | ||
| as risky as | ||
| None of the above |
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
